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KILGORE, Texas - Martin Midstream Partners L.P. (NASDAQ:MMLP) reported a net loss of $2.4 million or -$0.06 per unit for the second quarter of 2025, falling short of analyst expectations of $0.08 per unit. Revenue came in at $180.7 million, below the consensus estimate of $199.4 million.
Despite the earnings miss, the company maintained its full-year adjusted EBITDA guidance of $109.1 million. The partnership reported adjusted EBITDA of $27.1 million for the quarter, down from $31.7 million in the same period last year.
"Based on performance over the first half of the year, we are reaffirming our full year adjusted EBITDA guidance of $109.1 million. However, we remain cautious and continue to closely monitor the potential impacts of the proposed tariffs," said Bob Bondurant, President and CEO of Martin Midstream GP LLC.
Revenue for the quarter decreased 2% YoY from $184.5 million, while operating income fell 25% to $14.9 million compared to $19.9 million in the second quarter of 2024.
The Transportation segment faced challenges with marine business utilization below expectations due to equipment repairs. The Specialty Products segment experienced temporary volume reductions in its grease business, though this was partially offset by better-than-expected results from the lubricants business.
"We anticipate that leverage will remain at this level in the third quarter, which is typically our seasonally weakest period for cash flow," Bondurant added. "We expect leverage to decline in the fourth quarter as the Sulfur Services segment exits turnaround season and operational cash flows improve."
The company declared a quarterly cash dividend of $0.005 per common unit, payable on August 14, 2025.
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